I'm not sure about the Windows 7 update that broke your scapes, but in windows 8, they removed the mpeg2 codec, which some dreams/scapes use.
But you can download standalone mpeg2 codecs.
I use klite codec pack which worked for me. I have windows 8 pro x64 so I had to download the x64 codec pack as well.
Please be careful if you choose to install the klite codec pack as it will change how video/audio files are played on your computer!
You can look up "mpeg2 codec" in google and start your research there.